The second step in developing operating budget is to _________?
A. identify variable overhead cost B. compute the per unit rate C. choose the budgeting period D. select allocation bases
Accounting MCQs with Answers
The fixed overhead allocated for actual output unit is subtracted from budgeted fixed overhead to calculate _______________?
A. budget variance B. production volume variance C. price volume variance D. cost volume variance
If the cost of indirect support labor is $5000, equipment maintenance setup cost is $7000 and machinery leasing cost is $4000 then variable fixed cost will be ___________?
A. $16,000 B. $12,000 C. $18,000 D. $21,000
To calculate fixed overhead flexible budget variance, an actual incurred cost is subtracted from ___________?
A. flexible budget amount B. constant amount C. variable amount D. production amount
In overhead cost variance analysis, the fixed overhead does not include ______________?
A. efficiency variance B. unfavorable variance C. production volume variance D. favorable variance
If the total setup cost is $35000 and fixed setup cost is $19000, then the variable fixed cost would be _____________?
A. $16,000 B. $54,000 C. $64,000 D. $74,000
If an actual variable quantity is 50, the actual and budgeted overhead cost of allocation is $7550 and $4500 respectively, then the variable overhead spending variance could be __________?
A. $182,500 B. $152,500 C. $162,500 D. $172,500
The less skilled workers for operating machines then expected are classified as ___________?
A. cause for exceeding budget B. cause of less employment C. fixed cost variation D. variable cost variation
The lower plant leasing, lower administrative costs, lower depreciation on equipment and plant are all the factors of _____________?
A. favorable price variance B. unfavorable price variance C. favorable spending variance D. unfavorable spending variance
The higher plant leasing, higher administrative costs and higher depreciation on equipment and plants are all the factors of _____________?
A. favorable spending variance B. unfavorable spending variance C. favorable price variance D. unfavorable price variance